Every day, the news about the economy seems to be getting worse and people across the world are concerned that they will be personally affected by the changes. In many cases, they already are when you consider how the cost of living has gone up, gas prices that seem to have no ceiling and continued natural disasters that threaten the stability of many areas.
There are many ways to stay financially solvent in bad economic times, and although it may not be easy for some, it can be done. The most important step is to curtail unnecessary spending, but this does not need to mean unyielding frugality, particularly if you manage your finances wisely. The stock market has been volatile, but there is still money to be made there as well, with smart investing.
If you do not yet have a personal financial advisor, this is a great time to get one. They will be able to assist you in navigating the world of investments and saving money in these times. For those that are deeply invested in the stock market and concerned about the direction it is taking, this is a very wise step indeed.
However, there are a few things that you can do on your own to keep your finances running smoothly. Instituting a budget is a great idea at this time, especially if you have issues with overspending. Mark down the necessities that have to be paid each month and then see how much you have left over. This is money that could go to work for you right now, as well as in the future.
Interest rates on savings accounts are not the best right now, but some gains are better than none at all. Having a savings account, or at the very least, an emergency fund, is a smart decision in today’s economy and can protect you in the event of the above mentioned disasters, or if a personal crisis strikes. Paying down any high interest rates debts should be a priority right now, especially if they are draining your finances every month. If you do have a problem with a high debt to income ratio, you may want to consider a consolidation loan to keep those interest rates in check and to help you save money each month.
If you want to keep growing your finances in hard times, there are several methods that can be utilized. The most common one that many investors turn to is housing, especially given the state of property values and the amount of foreclosures. This is a great time to pick up an extra house if you have the funds, and this can easily be turned into a rental property that will generate income.
Navigating the waters of uncertainty is never easily, particularly when bank failures are the talk of the entire world. However, if you watch your spending and take the time to see how you can make your money work for you in these times, you can come out on top.
Photo Credit: 1
Originally posted 2008-10-21 05:10:20. Republished by Old Post Promoter
Related Posts - Review: The Motley Fool’s You Have More Than You Think By David and Tom Gardener For many people, the ability to invest is a pie in the sky dream that will never be achieved, due to the fact that they may not believe they have “enough” money to invest. This book promises to allay those fears and help readers get a better view on personal......
-
How to Find Financial Stability in Unstable Markets Right now, the only news about the economy seems to be bad news, and it may take a few months if not years to improve. The dollar is weak, oil prices are still up and the cost of living has skyrocketed this year. These are unstable times, but that doesn’t...... - Sunday Money Madness Welcome to a new edition of Sunday Money Madness where another portion of the financial blogosphere is illuminated. I found these stories to be worth while and interesting and they should make great weekend reading if you haven't read them yet. An Immigration Story by Digerati Life details a story......
- Organize Your Personal Finances in No Time by Debbie Stanley If nothing else, the state of the economy has shown that millions of people don’t have a good grasp of how to manage their personal finances. There are hundreds of books written every year on the subject and yet, this concept still seems to elude many. Some books are either......
-
How to Start Saving More Right Now For many of us, saving is something that we always plan to do, but never quite get around to it. The bottom line is, if you don’t have a savings account and a regular plan for putting money aside, you may regret it in the future, especially as you get......
Related Websites - The elusive nature of happiness, part 4 [One] You can't change your genes, but you can tinker with the essential wiring of your brain. Selective serotonin reuptake [this is such an interesting word to me...and has some spiritual parameters, even the next word, 'inhibitors'] inhibitors, such as Prozac, Zoloft, and others work to prolong the action of......
- Weekend Link Love Summer is in full swing now, and it is hot outside. Fortunately, I didn't have to work friday and spent most of it keeping cool by the po.... I mean working on my blog. Here are a few of my favorite posts this week. My Health Insurance Nightmare by Ron......
- Link roundup: Father's Day edition Happy Father's Day! I credit many of my good financial habits to my father, so thanks Dad! Here are some links of interest from the MBN and other blogs in my reader: Free Money Finance discusses the financial issues in the upcoming election. Get Rich Slowly has a best post......
-
Welcome Free Money Finance Readers! For those of you that are visiting after reading my post @ Free Money Finance, thanks for stopping by, I appreciate it! If you were to read through my archives you would find that this is a personal finance blog, obviously. However, I like to consider it "sensible" personal finance.... -
November 2007 Dwell Magazine - A New Shade Of Green. This month's issue of Dwell Magazine is the "green" issue it seems...even though there are stories every month about the same types of things. I have been subscribed to Dwell since they first came to market, which I believe was 8 years ago. And the magazine, while oftentimes covering......
Categories:
Budget, Debt, Financial Security, Investing, Personal Finance, Real Estate
Tags:
2 comments ↓
Picking up another house sounds like a great idea, but don’t you need to know a little about real estate or find someone to help you who does have some knowledge before you dive into real estate purchases?
Excellent article, but I’m still going to sit out the real-estate market because higher interest rates are coming and they will put further pressure on prices.
Leave a Comment